CWU warning over independent voice for postmasters

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Ahead of the special conference of the National Federation of SubPostmasters (NFSP) in Birmingham today (Thursday), the CWU has written to subpostmasters warning them of the dangers of the plans of the Federations' leadership to enter into a Memorandum of Understanding (MoU) with Post Office Ltd.

"It is for the Federation to decide upon its own future. But the MoU will not address the problems of postmasters or the post office network"
Dave Ward, CWU general secretary

Under the MoU the CWU is warning that postmasters risk losing an independent voice in the Post Office, with the NFSP becoming reliant on a grant from the company for funding.

Dave Ward GS
Speaking ahead of the conference, CWU general secretary, Dave Ward, said:

"This is the biggest decision facing the NFSP in its 118 year history.

"The MoU risks the loss of the independent voice NFSP members have in the Post Office and threatens their democratic traditions.

"It is for the Federation to decide upon its own future. But the MoU will not address the problems of postmasters or the post office network.

"It is not in the best interests of the Post Office or its customers for postmasters to be prevented from having a say in how it is run and raising genuine concerns. We want to see a strong and independent voice for postmasters and would urge their members voting today to think carefully about what the MoU means for their future."

Read the open letter to subpostmasters for all the details.Ahead of the special conference of the National Federation of SubPostmasters (NFSP) in Birmingham today (Thursday), the CWU has written to subpostmasters warning them of the dangers of the plans of the Federations' leadership to enter into a Memorandum of Understanding (MoU) with Post Office Ltd.

"It is for the Federation to decide upon its own future. But the MoU will not address the problems of postmasters or the post office network"
Dave Ward, CWU general secretary

Under the MoU the CWU is warning that postmasters risk losing an independent voice in the Post Office, with the NFSP becoming reliant on a grant from the company for funding.

Dave Ward GS
Speaking ahead of the conference, CWU general secretary, Dave Ward, said:

"This is the biggest decision facing the NFSP in its 118 year history.

"The MoU risks the loss of the independent voice NFSP members have in the Post Office and threatens their democratic traditions.

"It is for the Federation to decide upon its own future. But the MoU will not address the problems of postmasters or the post office network.

"It is not in the best interests of the Post Office or its customers for postmasters to be prevented from having a say in how it is run and raising genuine concerns. We want to see a strong and independent voice for postmasters and would urge their members voting today to think carefully about what the MoU means for their future."

Read the open letter to subpostmasters for all the details.

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We know that a special conference of the National Federation of Sub Postmasters will be meeting to consider a recommendation that the Federation enters a so-called Memorandum of Understanding (MOU) with Post Office Ltd. The other options open to the special conference are a transfer of engagements to ourselves, or to come to some arrangement with the National Federation of Retailers and Newsagents.

The CWU has worked closely and effectively with the Federation. There is clearly a very wide and deep community of interest as the members of both organisations seek to engage constructively with Post Office Ltd in the interests of all those who depend on the business as either employees, contractors, agents and customers.

We know that the business’s strategy is not working. We have legitimate fears for the future of the business and those who depend upon it. We know that we need to engage government more effectively in order to secure a long term future for the post office network and to make the most of the assets that the business already has.

We also recognise that the decision before the NFSP special conference and Memorandum of Understanding it is for the NFSP and NFSP alone to take.

However, it would be wrong of the CWU not to make its views on the Memorandum of Understanding clear.

We need to be sure that the NFSP conference can debate the issues with the greatest level of information, and that those with an interest in this matter outside of the NFSP (including, of course, the CWU’s own Postmaster membership) are clear about our position and the reasons for it.

We urge careful and critical consideration of the MOU.

●Once check-off ends, it will not be resurrected. Replacing the collection of subscriptions with a grant is an exceptionally high-risk strategy.
●It means that the NFSP is dependent on payment of the grant for regular income.
●We understand that the MOU is to be configured as a grant funding mechanism rather than a normal contract. This gives the grant payer (i.e. POL) huge discretion into whether or not a grant is actually paid.
●The training grant scheme is indeed very attractive, but a Post Office Ltd committed to innovation and development will still want to pursue that idea with its Postmaster community irrespective of how that community is organised.
●Above all we respectfully suggest that Postmasters need the right to say “no” to POL.
●We do not see how this can really happen with MOU.We also believe that the MOU is vulnerable to legal action. This is because, crudely speaking, whether the funding of the NFSP is by means of a formal contract or a grant mechanism, it is clearly open to the challenge that it is designed to avoid procurement regulations and seeks to be a mechanism to avoid tax and VAT.

Legal action on this not only has the potential to disrupt funding, but also drags the Postmaster community into disrepute. And even if the funding issues are settled, does the MOU give Postmasters an independent voice in any true sense?

The MOU ties the NFSP to specific objectives and restraints. The NFSP will not be able to:
● “engage in activities which are actively detrimental to the PO”, “introduce commercial risk to the PO”
● “disclose PO information that is confidential or commercially sensitive”.
● encourage “Sub Postmasters to take action which conflicts with their contractual obligations”.

CWU firmly believes that one loud, strong voice for Postmasters is better than two. It maximises the chance to change the future of our industry and achieves key strategic objectives of coherence for the sector, a capacity to recruit and increase support for trade union members who are also self-employed.

But the mechanism supporting the MOU option will allow huge opportunity for the big multiple owned Post Office groups to exert undue dominance over the reconstituted NFSP, squeezing out the individual member. CWU also enjoys a close a productive working relationship at a senior level with Royal Mail. A united Postmasters voice through membership of the CWU would have maximum impact and influence on future decision making within RM. This simply will not be available under the MOU, which perpetuates division and provides a host of unhelpful distractions.

The CWU is a progressive and forward thinking organisation. We are committed to seeking and securing a sustainable Post Office Network and will be setting out the next stage in our plans for the future over the coming months.

The Federation special conference will make its own decision. The CWU will respect that decision and will continue to seek to work with Postmasters in the interests of our common objectives. But CWU also remains a welcoming home for those Postmasters who seek the benefits of a strong, independent organisation to protect and advance their interests.

For more information on the CWU’s campaign to secure the future of the Post Office Network and the work of the CWU Postmasters’ community, please contact postmasters@cwu.org or 020 8971 7484 or visit: http://www.cwu.org/join-cwu-postal.html" onclick="window.open(this.href);return false;